Uber Proposals Value Company at $120 Billion in a Possible IPO
Source: The Wall Street Journal.
MARKETS | STOCKS | IPOS
Uber Proposals Value Company at $120 Billion in a Possible IPO
Eye-popping offering, which could take place early next year, is nearly double the ride-hailing company's valuation in a fundraising round two months ago
By Liz Hoffman, Greg Bensinger and Maureen Farrell
Updated Oct. 16, 2018 1:28 p.m. ET
Uber Technologies Inc. recently received proposals from Wall Street banks valuing the ride-hailing company at as much as $120 billion in an initial public offering that could take place early next year, according to people familiar with the matter.
That eye-popping figure is nearly double Uber's valuation in a fundraising round two months ago and more than General Motors Co., Ford Motor Co. and Fiat Chrysler Automobiles NV are worth combined.
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Read more: https://www.wsj.com/articles/uber-proposals-value-company-at-120-billion-in-a-possible-ipo-1539690343
Let that sink in:
"That eye-popping figure is nearly double Uber's valuation in a fundraising round two months ago and more than General Motors Co., Ford Motor Co. and Fiat Chrysler Automobiles NV are worth combined."
This the story in this morning's print edition of The Wall Street Journal. above the fold on page A1 all the way over to the right. The print title is "Banks Put Uber Value at $120 Billion."
Liz Hoffman, Greg Bensinger and Maureen Farrell:
https://twitter.com/lizrhoffman
liz.hoffman@wsj.com
https://twitter.com/GregBensinger
Greg.Bensinger@wsj.com
https://twitter.com/Maureenmfarrell
maureen.farrell@wsj.com
GeorgeGist
(25,323 posts)peekaloo
(22,977 posts)Astraea
(468 posts)bucolic_frolic
(43,281 posts)When people are spending, money is still nearly free, and Wall Street smells a killing, the cash flows seem infinite. The MBA bean counters can value a tuna fish sandwich at $2 million in this environment.
When the public balks at service, when the drivers awaken and go found their own jobs, the crash will be epic.
Saviolo
(3,283 posts)Just remember that Uber is "disrupting" unionized taxi company jobs by deeply subsidizing the rides and losing tons and tons of money. Wealthy venture capitalists are investing in Uber to the tune of billions of dollars, but they have yet to turn a profit.
This article has a good breakdown:
https://www.recode.net/2018/5/23/17380952/uber-2018-financials-yandex-grab-softbank
Check the graph showing the company's revenue, but make sure you also click on the "Net loss/profit" tab, and read the caveat:
But theres a big caveat with that figure. Uber gained $2.9 billion after it merged its businesses in Russia and Southeast Asia with local competitors.
Without that, the company would have posted a loss...
bora13
(860 posts)subsidizing their own life and car depreciation for that.